Cashew export faces many difficulties and challenges
According to data from the General Department of Customs, Vietnam’s cashew exports in July 2022 decreased by 3.2% in volume and by 8.7% in value, compared to June 2022. The exports in July 2022 also fell by 17.5% in volume and 26.1% in value, compared to the same period last year. During the first seven months of 2022, cashew nut exports reached 294,000 tonnes, worth 1.76 billion USD, down 10.5% in volume and 12.1% in value over the same period in 2021.
The effects of the prolonged COVID-19 pandemic resulted in increasing freight costs and delays in the shipment of orders that were signed in 2021.
Although the average export price was about 5,792 USD per tonne, up 1.45% over the same period in 2021, the price of raw cashew imports from Africa from the beginning of this crop has seen a 15- 20% year-on-year increase. The increase in export prices has not yet caught up with the increase in import prices for raw materials, slowing down the buying of raw materials.
According to the latest information from the General Department of Customs, the country imported nearly 1.26 million tonnes of cashew nuts from the beginning of this year to July 15, with a turnover of nearly 1.84 billion USD, down 670,000 tonnes in volume or 34.82% and down 37% in value over the same period last year.
High inflation in many major global economies causes people to tighten spending, especially for high-priced products. Vietnam’s cashew nut exports are forecast to still face difficulties in the remaining months of 2022.
Despite adverse factors, the Import-Export Department said that the global cashew nut market is anticipated to grow by an average of 4.6% in the 2022-2027 period. Global trends are favouring vegan and plant-based diets in addition to alternative protein sources, leading to increasing demand for nuts and nut-based foods.